This week, quarterly reports were presented by Oracle Corporation and Adobe Systems. Sidus Space announced its cooperation with NASA, and MicroStrategy suffered from the crypto market crash. Let's discuss the details of what happened.

Oracle report: earnings recorded growth for eight quarters in a row

On Monday 13 June, the American corporate software maker and supplier of server equipment, Oracle Corporation, presented its report for Q4 and the whole of the 2022 financial year.

Total earnings of Oracle from March to May increased 5.5% to $11.84 billion compared to the statistics of the same part of last year. Net profit lost 20.9%, reaching $3.19 billion, and EPS rose 15.3% to $1.16. Yearly earnings recorded an increase of 4.8% to $42.44 billion, net profit dropped 51.1% to $6.72 billion, and EPS declined 47% to $2.41.

Sales of cloud and local Oracle licenses in Q4 grew 18% to $2.54 billion. Cloud services and license support brought the corporation $7.6 billion, which is a 3% growth.

On 14 June, the quarterly and yearly reports pushed the share price of Oracle Corporation (NYSE: ORCL) up 10.41% to $70.72. Since the beginning of this calendar year, the stock quotes lost 21.2%.

MicroStrategy shares dropped due to the crypto crash

On 13 June, the rising inflation and general sales of risky assets led to Bitcoin dropping to the December 2020 levels – under $22,000. The second-largest altcoin Ethereum followed alongside others.

The crash in the crypto market seriously affected the shares of companies tightly bound to digital assets. One such company is MicroStrategy Incorporated which provides business analytics, software, and cloud services.

MicroStrategy has a reserve of 129,218 BTC. The average purchase price of Bitcoin is $30,700. When the trading session closed on Monday, the share price of MicroStrategy Incorporated (NASDAQ: MSTR) lost 25.18% to $152.15 due to the decline of crypto.

On the next day, the head of MicroStrategy, Michael Saylor, stated that at the time of choosing an investment strategy in the BTC, the company was aware of the probable volatility in the crypto market, and this is why they decided to continue keeping the crypto. Investors took this statement positively, and over the two next sessions, the stock quotes of the company jumped 12.6% to $171.34.

Sidus Space announced its cooperation with NASA

On Wednesday 15 June, Sidus Space Inc. which makes space equipment and provides multi-profile engineering and production services for space launches and flights, announced that it had signed a contract with NASA.

By the xEVAS programme, Sidus Space must design, produce, and test a new space suit, instruments, and equipment for working with vehicles in open space.

The contract, which was signed between NASA, Collins Aerospace, and Axiom Space, has a potential cost of $3.5 billion and will be in force until 2034. Sidus Space was chosen as the main subcontractor.
On the same day, the shares of Sidus Space Inc. (NASDAQ: SIDU) skyrocketed 225% to $4.68, thereby hitting a record. The next trading session ended with further growth of 63.03% to $7.63.

Adobe report: earnings grow – shares fall

On Thursday 16 June, the share price of Adobe Systems Incorporated (NASDAQ: ADBE) dropped 3.14% to $365.08. The main reason for the decline of the shares of the US software developer was the publication of the financial results of Q2, financial 2022.

Adobe Systems Incorporated reported for March-May an increase in total earnings of 14.4% to $4.4 billion, a net profit rise of 5.6% to $1.18 billion, while EPS increased 6.8% to $2.5 against the statistics of the same part of last year.

The main part of the quarterly earnings was generated by paid subscriptions – $4.1 billion. Compared to Q2, financial 2021, this is 15.6% growth. Software sales brought the company $146 million, while the number was $153 million in the year before.

At Adobe Systems, they expect the earnings in the whole of 2022 to reach $17.65 billion, and EPS to reach $9.95. They also note that the business is impacted negatively by the war in Ukraine, leaving the Russian and Belarusian markets with increased losses in earnings due to the conversion to the USD.

Summing up

Oracle Corporation reported its performance in Q4 and the whole financial 2022. Earnings have recorded growth for eight quarters in a row. The stock quotes rose 10%.

At the beginning of the week, the crypto market crashed and dragged in tow the shares of MicroStrategy, making them lose 25%.

Sidus Space announced its cooperation with NASA. The contract is evaluated for $3.5 billion. The stock quotes skyrocketed by 225%.

The quarterly report and forecast for the year by Adobe Systems did not impress investors and analysts: the shares of the software developer lost 3%.


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